ChipMos Taiwan will pay the purchase price in four installments to Taiwan's SPIL with the final installment scheduled to be paid on or before March 31, 2011. All the purchased equipments will be shipped to and installed at ChipMOS' plant by no later than July 31, 2010.

ChipMos also entered into a share purchase agreement with SPIL to sell to SPIL's holding of 133,000,000 common shares of its subsidiary, ChipMos Taiwan, with a consideration of approximately NT$1.63 billion ($51.0 million). The purchased shares represent approximately 15.8 percent of the total number of ChipMos Taiwan's outstanding shares.

ChipMos recently received the initial payment of approximately $33 million from escrow agent for the sale of accounts receivable for testing and assembly services provided to Spansion Inc. in the amount of approximately $66 million to $70 million.

This is based on the definitive ''transfer of claim agreement'' to sell to Citigroup Financial Products Inc. the general unsecured claim reflected in the proof of claim against Spansion in a previous suit. As reported, Spansion filed for Chapter 11 bankruptcy.

ChipMos and SPIL are independent provider of semiconductor testing and assembly services.

By: DocMemory
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